BUSINESS NEWS BULLETIN DECEMBER 2014 Year 2014 full of success Inside edition: Dear friends, I have just returned from visits to our 3 factories: Berrechid, Bydgoszcz and Chamdor. All of them were struggling to put the last orders into production and satisfy their customers in these last days of the year. In one country we had 31 degrees C, in another -8. It shows how our CGH group has taken the market over the last few years: in 2014 we supplied tanks to the 2 Poles. From South Africa to the South Pole, from Nordic in Denmark to the North Pole. Each tank had its own particular steel quality, weld materials and specific isolation. It illustrates our permanent drive to extend not only our range of applications but as well the territory covered by our different units. I thank all of you who participated with your skills and energy to support this development and I look forward to a continuing partnership between all of us in 2015. Happy New Year and Merry Christmas to all of you! Year 2014 full of success for Petrotank SA Staff move from Lokeren to Bornem office Thermoflex/LPG pipe for firefighting training centre in Belgium CGH Polska completed another order for a batch of 12 filters CGH Polska tanks in Brazzaville 2 3 3 4 4 Thermoflex/LPG pipe for casino in Vladivostok 5 Kind regards, Oil company from Estonia visited CGH Polska 5 Chris D Hondt Thermoflex water injection line installation in Poland 6 Large LPG tanks 7 New colour for Easy Fit and ifix boots CGH Belgium 8
Year 2014 full of success for Petrotank SA We welcome summer in South Africa which is also the time of our annual shutdown that takes place between December the 12 th 2014 and January the 5 th 2015! We are very excited about the new challenges we will be facing in the New Year... It is our great pleasure to announce that Petrotank SA has been officially in production for over a year (celebrating its first anniversary of opening on September the 28 th ). During this year the company has managed to achieve very high results in tank production delivering 350 tanks composed of over 530 compartments. It is also notable that Petrotank South Africa is the official NUPI distributor and we are the only accredited training facility in Southern Africa at our offices in Chamdor & Bloemfontein and also across most major cities in the country. However, if required, training can be arranged in smaller regions in the country as well. Last but not least we are happy to inform that Petrotank South Africa has a new face as we released our new logo on the 1 st of December. Page 2 DECEMBER 2014
Staff move from Lokeren to Bornem office On Friday November the 7 th, all staff from Fuel & Tank Components Lokeren were temporarily moved to Bornem. The relocation was necessary for several reasons. Firstly to avoid any interference with the renovation works that have started in the Lokeren offices. Secondly, all CGH Belgium staff members are for the first time, since the startup of this new entity, working from the same office. This will facilitate communication, improve administration flows and ease accountancy. In short the relocation will improve the efficiency of CGH Belgium. By the beginning of next year the new offices in Lokeren will be ready for us to move in again. CGH Belgium offices and warehouse in Lokeren will become operational from the 1 st of February. We will keep you all informed and give more details about this undertaking in the next CGH Bulletin. Thermoflex/LPG pipe for firefighting training centre in Belgium After realizing a project for Thermoflex in the Firefighting Training Center of Copenhagen Airport, the Belgian fire brigade took interest in a comparable application. As a result, CGH Belgium delivered 6 x DN25 Thermoflex/LPG pipes for several underground connections between a tank and 3 different fire simulation facilities. The pipes (both liquid and gas phase) are installed between the aboveground LPG tank and several facilities to train firemen on a truck fire and different industrial piping and flange fires. The customer is impressed by the safety of the system, by the low pressure drops and by the short installation time needed (no welding or corrosion protection required...). It s yet another proof that the Thermoflex/LPG pipe is the most flexible and cost efficient high pressure LPG piping system to install. This might be a good reason to talk to the firemen in our other countries as well. Business News Bulletin Page 3
CGH Polska completed another order for a batch of 12 filters A large installer from the water sector ordered 12 filters in diameter 2.900 mm. The filters were produced in October and delivered beginning of November to a water purification station in a small Polish city, as the only source of drinking water. Paint coating was made to C5 environmental class. The installation company which ordered the filters is one of the leading SUW contractors in Poland and this is the second order processed for them. Before placing the order, our customer visited CGH Polska. During the visit, the customer had an opportunity to make sure that we are capable of fulfilling his requirements and delivering high quality filters that will gain recognition of the investor and will be an excellent showcase for both companies. Except for assembly and welding technology (Arc Welding), it is also important for the customer that our constructions have reinforcements, increasing stability and reliability of the product. The quality of paint coating also played an important role. The construction sites with such solutions are frequently visited by third parties, so our customer values the visual aspect of CGH Polska production as well. The contractor has already sent another request for the supply of filters for the project in 2015. CGH Polska tanks in Brazzaville The Airport Service Station construction in Brazzaville is a major project that fits in the ongoing expansion of an oil company in the Republic of Congo. Apart from the fuelling areas, the service station will have a large shop with outdoor terrace, a car wash and parking space. For this project CGH Polska manufactured and supplied six 35m³ double wall underground tanks, some of the tanks in multi-compartment version. The tanks, each strapped on a speed chassis, together with all the accessories were shipped via Antwerp to Pointe Noire harbour and further by road to Brazzaville. The station will also be equipped with a CGH Belgium pre -fabricated manifold, to direct all the suction lines from the tanks to the different fuelling islands. The manifold allows, without excavation works and lengthy station down time, future product re-allocations in the tanks when a third fuel is introduced. This new station is well located on one of the main roads serving the Maya Maya International and Domestic airport. With a population of 4,6 million and a 2013 GDP of 5,8% the Republic of Congo is a rapidly growing nation requiring many new roads and consequently service stations. Page 4 DECEMBER 2014
Thermoflex/LPG pipe for casino in Vladivostok CGH Rus latest on-going project was located in Vladivostok (which is the terminus of the 9.288 km Trans-Siberian Railway coming from Moscow). We delivered 800 m of Thermoflex/LPG pipe for the construction of brand new casino with hotel accommodation. The investment is targeted on the Chinese and South-Korean gamblers. Thermoflex DN32 pipe is used for a 650 m underground installation to connect several insulated LPG tanks with the casino s kitchen. Other Thermoflex pipes (3 pipes of 25 m) are installed to connect the tanks with an industrial boiler. Krzysztof Iwańczuk from CGH Belgium travelled to Vladivostok to train the local contractor. The reason for using LPG is the absence of city gas in such a remote area. Oil company from Estonia visited CGH Polska For the last 3 years CGH Nordic / CGH Polska have been the preferred supplier of oil tanks to an oil company from Estonia, which is one of the biggest in that country, operating approximately 50 gasoline stations (total population of Estonia is only about 1,3 million people). To further develop our cooperation, there was a meeting at CGH Polska in the 46 th week. During the day representatives of our customer had a chance to see a wide range of our products and were also given a tour around the factory to see our production and to understand the different stages in the production of a tank. Their strategy is to keep building stations at a pace of 3-4 new stations each year until they reach approx. 70 stations in total. Also a number of older stations must be upgraded with the new tanks. In the coming 3-4 weeks CGH Nordic will try to sign a framework agreement for the supply of the tanks to this company in the following year. Business News Bulletin Page 5
Thermoflex water injection line installation in Poland The leading exploration and production company of natural gas & crude oil in Poland selected for the 2 nd time Thermoflex pipes to replace a corroded steel pipeline for water injection purposes. The most suitable Thermoflex pipe for this application was a 2 3/8 52 bar Fortron lined pipe. The total length of the line was 340 m with a pull through section of 100 m and a road crossing. The 340 m Thermoflex pipe consisted of 1 piece and was coiled onto a 10ft reel. The whole installation was performed in less than a day. The pressure test was afterwards performed at 40 bar as this equals to the real operating pressure of the pipe. The advantages of using Thermoflex pipes instead of regular carbon steel pipes for water injections are plentiful: No corrosion Extremely fast installation Higher abrasion resistance Higher durability Pull through existing steel pipes avoiding disputes with landowners The client was very happy with this smooth installation and we will continue to further extend our offer on the Polish market. We are at the same time working on a new certification for Poland/EU, more news on this topic in the next CGH Bulletin. Page 6 DECEMBER 2014
Large LPG tanks CGH Polska strengthens its presence in the domestic market due to the production of large LPG tanks. This year we received orders for 11 such tanks: 8 pieces of 50 m 3 and 3 pieces of 100 m 3. These were all underground tanks, some used for gas distribution, some to store heating gas and some as emergency heat maintenance in case of shortages in the grid. Attached pictures present tanks on the construction site. The customer bought three stacked tanks, each volume of 100 m 3 and diameter 2.900 mm. Tanks were installed in a private LPG base. In 2014 we also completed an export order for delivery of three aboveground LPG tanks with volume of 100 m 3 each and diameter of 2.900 mm. The tanks were transported to Antwerp and from there shipped to Angola to an LPG base being built by the Portuguese engineering company. Tanks arrived on time and the customer showed his appreciation for timing and quality. Currently the program to increase sales of large LPG tanks in Poland, Europe and Africa is being implemented. Business News Bulletin Page 7
New colour for Easy Fit and ifix boots CGH Belgium As from now, all Easy Fit boots and ifix repair boots will change colour from red to black. The features of the advanced Fortex material for the black boots remain the same but the US manufacturer ensures us shorter lead times as in the US recently all boots were also changed into black. The other main reason for the change is that the red dye became rare and expensive to source. CGH Belgium wants to avoid any kind of price increase in terms of processing. The Easy Fit pipe entry fittings can be installed in steel, concrete, PE and GRP sump walls. They are approved for all new fuels, ethanol, E85 and bio-diesels. Different dimensions are available to seal all pipe brands and diameters and due to the alignment pins on the cuff bodies Easy Fit pipe entry boots are easily installed by just one person. The Fortex UL listed material is the most advanced polymer for durable & flexible pipe sealing boots; resistant to fuel, UV, ozone, high temperatures and humidity conditions. Page 8 DECEMBER 2014
CGH Group News Bulletin Srebrna 39 85-461 Bydgoszcz, Polska Tel: +48 52 370 6666 Faks: +48 52 370 6660 E-mail: katarzyna.legawiec@cgh.com.pl Business News Bulletin Page 9